Premium Price Placing30 Jul 2018 11:46
Be you a clapper or a slapper the placing news must be greeted with a degree of satisfaction.
Equally it is hard to understand the logic of the share purchase. Maybe Kibo offers such fantastic potential that the buyer simply wants in, to profit from rapid progress that LC suggest the company is making. Ten million shares would be very difficult to purchase on the open market, even over a period of time. Hence the direct purchase from the company.
Boff seems to suggest that the company is maybe offering a discreet sweetener to the buyer. If that were the case it would need to be stated in the RNS and if it were the case and not disclosed it would be illegal. On balance I think that the suggestion is ludicrous. However, Boff is correct to query the logic.
If a buyer purchases such a large amount of shares at a premium to the market price then the market would be expected to take accountof the purchase and move the sp accordingly.
The market has more or less ignored the transaction, why? Do they like Boff feel
that smoke and mirrors are at play?